Dynacor Strengthens Financial Position: Announces Debt Free Company and Builds Working Capital to US $16 Million
MONTREAL, QUEBEC–(Marketwired – June 20, 2013) – Dynacor Gold Mines Inc. (TSX:DNG) (OTC:DNGDF) (Dynacor or the Company) a company with gold ore-processing operations and exploration projects in Peru, today announced that it has paid off its $1.2 million debenture and is now a debt free company. Dynacor has built a solid working capital of $16 million.
Dynacor continues to see robust cash flows (currently $0.29 cash flow per share (four trailing quarters)) and earnings (currently $0.25 earnings per share (four trailing quarters)) as compared to its prior years, as a result of the strategy to organically grow its low-risk ore-processing division in a fiscally responsible step by step manner.
Leonard Teoli, Dynacor’s Vice President and Chief Financial Officer stated, “I am very pleased to say that Dynacor is in a position of tremendous financial flexibility given the fact our cash reserves are steadily growing and, as of today, is a debt free company. In addition to growing our production to over 20,000 ounces of gold in the first quarter of 2013 due to exceptionally higher ore grades supplied, the Company’s thriving ore-processing division alleviates the risks associated with gold mining including the instability in the price of gold.”
ABOUT DYNACOR GOLD MINES INC.
Dynacor is an ore processing and gold exploration and mining company active in Peru through its subsidiaries since 1996. The Company differentiates itself from pure exploration companies as it also generates income and cash flow from its wholly owned ore processing plant in Peru. The Company’s assets include five exploration properties, including the Tumipampa property, as well as its 220 tpd gold and silver ore processing mill at Acari. Dynacor’s mill produces gold from the processing of ore purchased from ore producers from all over Peru. Dynacor’s strength and competitive advantage comes with the experience and knowledge the Company has developed while working in Peru. Its pride remains in maintaining respect and positive work ethics toward its employees, partners and local communities.
FORWARD LOOKING INFORMATION
Certain statements in the foregoing may constitute forward-looking statements, which involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of Dynacor, or industry results, to be materially different from any future result, performance or achievement expressed or implied by such forward-looking statements. These statements reflect management’s current expectations regarding future events and operating performance as of the date of this news release.
Shares outstanding: 36 281 111
Dynacor Gold Mines Inc (TSX:DNG)
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Dynacor Gold Mines Inc.
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Dynacor Gold Mines Inc.
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